Blow for NW as tech giant plans 1,800 job cuts

JAPANESE electronics giant Fujitsu has announced that up to 1,800 jobs could be cut at sites across the UK.

The plans will affect about 18% of its 10,000 strong UK workforce across sites including Manchester, where it employs 636 staff, Warrington (511) and Crewe (16).

The firm, which is headquartered in Tokyo, said that the workforce reduction would come as part of a “transformation programme” it is currently undertaking and did not relate to the outcome of the EU referendum.

The company statement said: “The company today advised its employee representative forum of plans to restructure the organisation in order to provide better service and respond more quickly to customer needs.

“As part of the programme, Fujitsu plans to streamline operations in order to remain competitive in the market. Proposed measures include changes which would result in a reduction of up to 1,800 jobs in the UK.

“All affected employees will be offered guidance and support and Fujitsu is establishing a consultation process with elected employee representatives.”

Union Unite branded the news as ‘a hammer blow’ to the British economy.
 
Its national officer for IT Ian Tonks said: “This is a hammer blow for these hardworking employees who have given their all to make the UK subsidiary highly profitable.
 
“It is not good news for the UK economy as the company says that it intends to offshore many of these jobs, with increased automation also responsible for job losses.
 
“Fujtsu’s main UK subsidiary made £85.6m profit last year and we see no reason for these job losses. Unite will be doing its utmost to fight for these jobs, as well as giving our members maximum support at this very worrying time.”

Today’s announcement comes as Fujitsu staff in Manchester are voting in an industrial action ballot over pay, pensions and job security.

Unite claims that the company has been cutting pay rates for years, despite healthy profits and that it is failing to tackle a significant gender pay gap. The strike ballot result is expected on Wednesday 19 October.

The company has also given notice to terminate its UK works council, Fujitsu Voice, from January 2017, which, the union says, will reduce workers’ redundancy and consultation rights.

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